A dilemma suggests a choice between two or more equally undesirable alternatives. It’s a frequent managerial situation where a decision, and ultimately trade offs must be made to solve a problem. The real problem is not the lack of attractive alternatives, but a lack of understanding of the problem itself.
Business models that capitalize on opportunities overlooked by conventional market structures can be very lucrative territory for an innovative entrepreneur. It is the essence of innovation to focus on what’s missing rather than what’s there. The solution is in the model. Strategically reorienting business elements creates a series of opportunities for products or services. It’s a foundation for serial entrepreneurship. Hayden Hamilton, is mining the market gaps left unattended by industry giants with a series startups. He is applying basic laws of physics to economics with interesting results.
A truncated quote is often attributed to Peter Drucker, “You can’t manage what you cannot measure.” The continuation of that thought continues, “You can’t measure everything that matters.” The first half has become embedded into our DNA. The second half is simply false. You can measure what matters, but not by the same metrics as everything else.
Our culture has created problem solvers. Identify the problem and solve it quickly. The result may create more downstream problems. Solve them later. This is our business nature. But, it’s not our human nature,
Every organization wants people with answers. I prefer people with questions – specific questions like: What if? Why not? Then what?
Questions do more than seek response. They provide direction. A question well asked is half answered. Ask “Then what?” and you’re exploring beyond tactics to the strategic potential of the solution.
Some solutions only postpone the problem. Some offload the problem without really solving it. Some solve one problem but create another downstream. Then what?
After months of cutbacks, reductions and layoff, is your organization ready for an economic rebound? Emotionally? Probably yes. Strategically? Probably no. Managing in a downturn requires the most from the least. Efficiency is king. Innovation, strategic visioning? Minimized or eliminated altogether. Your decision clock is ticking.
The story of a resource in motion from the perspective of Miles the Can. It's something to think about in a world where everything travels great distances to satisfy our desires.
Situation: Your organization is burdened by a series of new rules with which it must comply. All organizations in your industry are subject to the same rules. The simple solution is to identify the path of least resistance – the solution that creates minimal disruption. That solution will probably be predictable. It will meet the requirement and probably nothing more.
The path of least resistance is also the path of least responsibility for protecting long term stakeholder value. The predictable path is the one that trades short term compliance for future competitive advantage.
An innovative organization, however, will see the problem differently. Instead of a restriction, it will identify the emerging industry pattern and will find the path which creates differentiation. Exploiting this path leads to new opportunity.